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tv   MONEY With Melissa Francis  FOX Business  November 13, 2012 5:00pm-6:00pm EST

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melissa: i'm melissa francis and here's what's "money" tonight. is the gop preparing to cave on tax hikes? mitt romney's former top economic advisor says, hey, guess what, it is time to give in. is this the only way to get a deal on the fiscal cliff? one republican lawmaker is here to react. tesla's car wins car of the year. there is rough road ahead for the electric car industry. i will talk about it with tesla founder and ceo, elon musk. drugs guns and murder. the creator of mcafee anti-virus software is on the run in central america. the plot thickens by the minute. we have all the illicit details.
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even when they say it's not it is always about money melissa: all right. first let's take a look at the day's market headlines. stocks swayed between positive and negative territory. retailers helped fuel a modest rally early on but fiscal cliff and european debt crisis fears ultimately ate away at the gains. those problems haven't gone away. that is big shocker. dow closed down 58 points. head of microsoft's windows software unit suddenly announced he was leaving the company. this is just two weeks after the launch of windows 8. on the flip side home depot shares climbed 4%. the company beat third quarter estimates and raised its full-year guidance pointing to improvement in the housing sector. the top story do night, will the republicans cave over the fight to the fiscal cliff? we have 48 days left before
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falling off. we're just careening over the edge of that cliff. we'll pay a huge economic price for it and now, believe it or not, some republicans are calling for increased revenue, even higher taxes. they are all code words, including one of mitt romney's former testimony advisors. to find out why texas republican congressman louie gohmert. thanks for joining us tonight. >> glad to be with you. melissa: what do you think is the answer to this problem? >> i think whatever mitt romney's closest advisors say is probably not the answer because we had a referendum on that. but, gosh, the answer is very, very clear, melissa. the president's own people have said that he has said it repeatedly, everybody should pay their fair share. now i do think we probably should set up a line of poverty and below that no tax, but set up a flat tax. if you make more, you pay more. if you make less, you pay less. only have two deductions for
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mortgage interest and also for charitable deductions. rest of it goes away. and let's make the capital gains 15%. let's leave it 15%. make a flat income tax of 15%. let's make the gift tax 15%. make estate tax 15%. you will see the economy explode. you will see all kinds of revenue come in. use the president's own words. everybody should pay their fair share of flat tax. melissa: i couldn't agree with you more. it is a fantastic idea. it will also never happen. so what do you think is the real solution that we could come to on this? >> well, like i say, it wasn't mitt romney's --. melissa: i no. are republicans going to have to give in and raise marginal tax rate, yes or no? what do you think?. >> i know a lot of us will not. i can't speak for everybody but i know an awful lot of us who simply will not because we know know the damage that will be done to the economy. people will lose their jobs. they will lose their
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benefits. they will lose their health insurance. too many people will be hurt. so we really do not want to see this president hurt anymore people as he has. melissa: is it worth going over the fiscal cliff? is that better than caving on this issue? >> well, what we've seen in our negotiations over the last two years is announcement before we enter the negotiations, before we ever, our leaders ever sit down to the table that we're not going to go over the edge. and therefore you give up your leverage before you ever sit down of the it is a question of whether or not do we really believe with all our hearts that what this president wants to do is really going to do damage to our economy or not. and i believe it will. it is already harmed people, what he's done already. what he wants to do will harm more. simply can't vote for it. melissa: i hear you. what do you mean we won't go over the cliff? do you think they have shown their cards and other side will cave before we go over the cliff? >> no. the other side never has caved. before --. melissa: democrats. do you think, do you think
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rather than going over the cliff they will do something else? you are saying they you -- you won't give in on marginal tax rates and we won't go over the cliff. what is the other option? >> the other option someone has to be willing to compromise. the other side has not been willing to do that at all. so the republicans last two years compromised every single time. we gave them the cr in march, year-and-a-half ago. and it just continued to kick the can down the road on the debt ceiling, we said we won't, our leaders said we won't get up without reaching an agreement. so we gave up our leverage before we ever sat down. at some point we have to decide, do we really believe what we've been saying? do we really believe what our constituents sent up here to do based on --. melissa: you will die on this mountain. you're not going to give in on marginal tax rates? >> well, the democrats, well, look, i think we don't have
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to. i think we can hold them to their words. i think the message of a flat tax across the board, that's where we would be willing to die. i'm not going to die on a cross of protecting some rich person but what i'm willing to die on a cross that will allow everyone in america to become rich and this president has destroyed that opportunity and i want to see it brought back. a flat tax will do that. melissa: okay. >> i'm not going down defending the rich, no. melissa: i hear you. >> but i will go down defending those, to give everybody in america a chance to become rich. that's what we want to provide. melissa: what america is all about. congressman, thanks for coming on. we appreciate your time. >> thank you. melissa: oil prices i don't know if that is going to work out but it will be interesting to watch. oil prices dropping for a second day in a row due to a large part of greece and their never ending economic problems. sounds familiar. european finance ministers are now delaying the next round of greece bailout loans because greece's own international creditors can't figure out how to get
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the program back on track. here's what i want to know. will the ripple effects cause a collapse on oil prices here in the u.s.? and what does that mean for us at the pump? this is what we care about in this whole greece thing. joining me, patrick dehaan, senior petroleum analyst from gasbuddy.com. what do you think about all this because it looks like oil prices are pretty darn weak for a number of reasons and that could be really good news for all of us? >> could be really good news and perhaps there is some bad news in there as well that is if oil prices go down, or if we go off this fiscal cliff, oil prices could collapse again. we could see a repeat of 2008-2009 recession where oil prices dropped to 50 bucks a barrel. lower gas prices certainly is good news but for all the wrong reasons. if greece doesn't get their country in order, if the e.u. doesn't get all their ducks in a row here we'll continue to feel it in oil prices. will it pull the u.s. down as well? that's the big question. lower oil prices are good
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for motorists but it is a sign of bad things to come. melissa: but, patrick, we're this is really clear at this point. we just talked about how, we're not going to solve this, that the fiscal cliff. sounds like. greece, they're not doing any better. i mean, oil's going down. what's the logical outcome to all this? because i was trying to have a happy show here but now i'm getting a little depressed? >> it is always depressing when you talk about oil prices and how they're going down because many times falling oil prices, you know, it is great and my wallet doesn't get hit as hard. melissa: nothing in it in the first place because no one has jobs and no one selling anything. >> that is the tough thing. oil prices are a bellwether for the economy. what will happen if there is no mess or no fiscal cliff, likely oil prices will remain 70 to $90 a barrel especially with all the news coming out with u.s. production is booming. it will be a weight on oil price. >> i'm fishing here
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desperately for a piece of something good. is the gas crisis in new york and new jersey and long island, is that over? >> you know, that's coming to a close. we're seeing traffic on our website in response to finding gas go down significantly. last time i checked yesterday 41% of stations now had gas. that was up from 24% just friday. so the situation there is slowly coming to an end and hopefully by thanksgiving new yorkers will start to see lower prices. melissa: slowly getting better. i'm going to hang my hat on that one. there you go. i'm going to quit while i'm ahead which i'm not. i will get out of here. >> thank you. melissa: obviously not only oil and gas prices affected by greece's latest financial problems. we've been following this situation closely on "money" because it could have a huge impact on our economy if greece can't survive until they get the next round of bailout fund next week. joining me for more now, my favorite professor of all
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time, there he is, you knew who i was talking about, charles lipscomb, from the university of chicago. boy, we made a mess here in the u.s. and looks like greece is in a heap of mess itself. is this finally the end of the line for greece? >> i don't think so that it's the end of the line for greece but i think none of the problems have really been solved. the basic problem now that the greeks are now entering their sixth year of a serious recession. this is really more like a depression. their gdp is down 20%. melissa: wow. >> from 2009. unemployment among youth is nearing 60%. and they just cut their budget more. what's the real dispute here? the real dispute is about two things. one is, what's the way out of this mess? the creditors really want more and more cutbacks in return for which they will basically lend greece the money to pay themselves back. melissa: yeah. >> what the imf would really
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like to see is, there are real losses here. there are real losses. creditors have lent money that is essentially bad. just like in a bankruptcy sometimes the lenders have to take a haircut. and what the imf would like to do is for the lenders to take a haircut but those lenders are the sovereign countries of europe and their politicians, they do not want to take that haircut. melissa: every time i have an economic debate with someone like all the time, they want to use greece as the example for their argument. have you noticed that? both sides say if we do what you want we'll turn into greece. if we cut spend drag mat i canly because of the fiscal cliff we're going to turn into greece. if we, keep spending or we raise taxes, if we don't pay our bills, what, how are we most like greecc? who is right in that argument? >> well, greece has currently a debt of about 190% of their gdp.
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melissa: woof. >> what they're trying to do, this is air aspiration to get it down to 120% the question they do that over 10 years or eight years or 12 years. there has been a little edging around. we're edging up, we're getting toward 100% of our gdp but we're nowhere near greece. i think what people though are talking about not just that, the total debt but the fact that greece also has a very rigid labor market because people get early retirement. they have huge pensions. there's a big government sector. so a lot of people who have been concerned about the kind of drift towards more and more centralization, more and more kind of soft socialism in u.s. social programs they're pointing to that as well. melissa: do you want to take a shot at solving the fiscal cliff crisis while we're here because i don't think we'll fix greece?
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>> i don't think we do anything before mid-december. the only threat of hanging in the morning that will focus the mind. you remember that quote. there is nothing that focuses the mind so clearly as the threat of hanging in the morning and i think they will move up to that. but i think the republicans are very chastened by the fact that, by the fact that they lost, but you heard congressman gohmert on your first --. melissa: i didn't hear any chastening at the top of this show. he was out there fighting and swinging. >> no. i heard something in the undertone there. he didn't want to say i'm, i'm going to cave in on this but he said i'm not going to fall on my swords over taxes for the rich. and i think that president obama, given his electoral victory, is going to make it very difficult for republicans because they will end up being in the position of just defending high taxes, the tax breaks for the rich, and that is an awkward political position to be in. melissa: i don't know. he just switched the
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language of the argument. he is saying i'm standing up for jobs and opportunity. i think it is all about distancing for yourself with anyone from money right now. that is what they learned. >> you're absolutely right. melissa: it is just semantics. i don't know. we'll see. >> you're absolutely right. and, and i've got to say, nothing looks like it is a pathway out to growth for our economy. that's the real problem. you want to grow out of this and that is the problem in greece as well. you want to grow out of it, not cut out of it. melissa: it is a total disaster. i'm completely depressed. professor lipscomb thanks for coming on. >> i'm sorry. melissa: we're having a good time. that is all that matters. time for today's fuel gauge report. first up, natural gas prices soared 5%. demand expectations spiked following a cold weather forecast for much of the u.s. the international energy agency lowered forecast for global oil demand by 290,000 barrels a day. the iaea blames superstorm
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sandy, you remember her. bipartisan group of 28 governors wants congress to renew a wind energy tax credit. governors say letting tax break expire will cost 37,000 jobs and drive away $10 billion of private investment. it expires at the end of this year. next on money, elizabeth warren hasn't even been sworn into the u.s. senate but she already has the entire banking industry shaking in its boots. one of her biggest supporters couldn't be happier. i couldn't disagree more. he is here to debate it out with me. plus, iran flexes its military muscle as sanctions tighten their grip around the regime. are the massive war games a signal it may be ready to lash out? more "money" coming up. ♪ ♪
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♪ . melissa: so newly-elected senator and former head of the consumer financial protection bureau, she was running for that, not sure
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she was head of that, but public enemy number one on wall street. according to rumors she could end up with a pretty posh assignment on the senate banking committee. do we really want someone so outspoken against the banking industry making rules for them? depend if you want a mortgage. i think it is a horrible plan. here to disagree with me, christian dorsey, head of the economic policy institute. christian, i will let you have first shot at this one because i have strong feelings about having her here. i want you to get in your argument. what do you think?. >> i think you would be hard-pressed to find someone that brings more experience, not only historical, but time as head of the oversight panel on tarp bailout. someone with more current practical experience in the banking industry to serve on the senate banking committee. you will find someone, you will not find someone. melissa: she doesn't have any banking experience at all. she does know anything about banking. >> melissa, she was in
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charge of investigating the congressional, congressional tarp program. she knows the banking industry inside and out. she knows how they operate. she knows the systemic problems more than any singular person you can think of that is not worker for the bank. she acquitted herself quite well. melissa: no. i think she is a zealot. her opinion what is wrong with the banking system is terrifying. here are her own words. she is credit products are designed to trick people. they don't expect to be carrying around a loaded weapon in their pocket that may fire and shoot them at any point. i don't think of my credit card as a bazooka in my pocket that could blow me up at any moment. these are credit products that people willing take and use so they're able to finance purchasing things that they can't afford to buy with cash. and she is likening it to a weapon. you don't think she is a little extreme? >> for you and me, melissa, who have good credit and who
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uses these things responsibly they're certainly not weapons but you have to acknowledge that there are great many credit products out there that are designed to lure people in and then change terms on them to make the credit wholly unaffordable and put people in a very difficult place. that's what she is referring to. melissa: christian, that doesn't make any sense because if a credit card explodes to a level where somebody can't pay it back, that is not good for the bank or credit company. they don't get their money back. they can charge all the fees they want. people default and never pay. they don't want to trick and trap people because they don't get paid. not in their financial interest. they don't get paid. people don't pay on the card. >> they write it off and get exorbitant fees in the process. melissa: from who? how do they write it off and get fees? >> [inaudible]. melissa: the term predatory lending is like jumbo shrimp. you're tricking people into taking money from you? they're taking money ffom you. you're lending them money to go buy a house.
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predatory lending? that is oxymoron. you're going to go out and trick people into taking cash? no, that is insane. >> you will if the monee that you make on the fees more than offsets what your, what you're paying out, particularly if you're security advertising that mortgage, for example, and making it someone else's problem whether or not they collect. that was clearly a problem in the 2008 financial crisis. and she is speaking truth to power about those practices. that's why the industry fears her. melissa: here's and i don't know what truth to power is. let me give you another quote. she says, if the, consumer financial protection bureau had been in place a decade ago the subprime mortgages sold to families across the country would never have been marketed. here is my fear. if you don't, the reason why subprime mortgages exist is for people who have, you know, fairly poor credit, who are at risk. so the bank is taking a gamble on them and obviously they're charging them a higher rate because they're a big risk.
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if those products don't exist, a whole bunch of people can't buy houses? are you okay with that? does that make sense? >> it makes sense to the degree looking at subprime mortgage market that was designed to give people who were not credit worthy with low or no documentation loans that would become unaffordable in the period of a year or two. people got those mortgages with the expectation that their houses would continue to increase in value. when that all collapsed you're talking about a huge financial instrument that is now problematic for the whole economy. that needs to be regulated very firmly if we're not going to avoid the incredible meltdown that we saw in housing for example. melissa: yeah. i mean it is just an interesting question going forward. do we want to cut off credit to a whole part of the market because their credit rating is lower and costs too much to lend to them. go ahead. >> yeah, i don't think we're saying that. it's a matter of making sure that credit is lent responsibly in a way not only responsible for the
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homeowner but also for the lending institution. that is what she is talking about. melissa: christian i love it when you disagree with me. will you come back and do it again? >> all right, melissa. melissa: here is my question of the day. how big of a threat is elizabeth warren to the banks when she takes her seat in the senate. i think it is pretty big. we want to hear what you think. like us on facebook.co facebook.com/melissafrancisfox. follow me on twitter. i'm going to take cash and gold and hide it in my house. that is the only answer. speaking of hiding gold, iran launches major war games while getting choked by sanctions are the mullahs a acting out or preparing for something? tesla won the car of the year award, can you believe it. but the road is still not clear made for the carmaker that those are your tax dollars. elon musk joins me with his plan to stay out of the
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ditch. do you have too much money or too much disagreement? i put away money. i was 21, so i said, "hmm, i want to retire at 55." and before you know it, i'm 58 years old. time went by very fast. it goes by too, too fast. ♪ but i would do it again in a heartbeat. [ laughs ] ♪ ♪
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♪ . melissa: iran is sending a message, a loud message. right now it is conducting major military drills and a big part of them is testing a new air defense system that makes it possible for them to lock into a flying object at a distance of 50 miles and hit it from 30 miles away. i have to ask is iran using a defense drills to send a message to iranians or to the west? let's ask the founder and president of the american islamic forum for democracy. he is also the author of the book, the battle for the soul of islam. doctor, thanks for coming back to the show. we always appreciate your time an insight. what do you think? who is this message for? >> well i think primarily
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since it was released on iranian tv, melissa, it is iranians sweating. they're sweating domestically their economy. prices for food are up 50%. the rial is down 60%. people are getting unsure and queasy about the economy but are they going to be attacked from abroad. what better to do is have this large massive defense, four-game war strategy where they show they can protect themselves but also, you know, the vice president for ahmadinejad made this bizarre statement that he said that he was going to break the grasp of obama on iran which is a euphemism in sort of the middle east vernacular they will cut his hand off which is pretty militant and tells them, you know what? on the heels of a new obama re-election they will not be pushed around by the west. they can blame their own economic woes on foreign powers, et cetera and displace what the conservatives in iran are blaming economic woes on ahmadinejad as against, say, it is from obama and we're
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protecting our country from the threat. melissa: do you think this works and is compelling to people who have been banned from buying luxury goods from abroad like toilet paper? >> well, you know, i think economically it is not going to have that much of an impact on sort of the distribution of goods as we see. there are bypasses being done through india, through japan, through china and also russia. but i do think ultimately the economy is faltering internally because of the government is able to buy as you reported and broke the story through reuters a couple weeks ago here they were getting one to $3 billion of gold into iran helping them bolster their cash. but on the other hand, goods they're buying are still not keeping up. they have 30% reduction in oil imports or exports rather. they're really suffering on things bringing in and out of the country. melissa: how are they doing that? >> they're doing it through, number one, bringing in bullion from turkey and dubai.
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that brings in cash they need without having to deal in rials. india, japan and china purchasing 50%. their oil shipped through iranian ships or other flagships that are masking the fact that that oil is going to those countries. turkey has the pass through the sanctions of 180 delays they're still dealing with iran. russia, some defense systems they were using in the defense drills this past week were russian made, the s-200 defense system. >> this situation is not getting any better. we're trying to have a happy show. it is not going well. thanks for joining us tonight anyway. we appreciate it. >> anytime, melissa. thank you. melissa: up next, tesla motor as car is the car of the year. that's happy. all right, but the electric carmaker face as bumpy road ahead. elon musk, tesla's ceo and cofounder is here to explain how the company plans to hit its stride. the founder of mcafee anti-virus software on the
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run from central american authorities? this is a bizarre story. he is wanted in the suspect of a a brutal murder of a neighbor. gets even weirder from there if that is possible. "piles of money" and salacious details around the bend. ♪ .
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♪ . melissa: so tesla's model s has just been named "motor trend"'s car of the year. very first time an electric car won the honor. the electric carmaker reported third quarter loss widened to 110.8. looming over the company whether it will pay the $465 million loan from the department of energy. with me is cofounder and ceo of tesla motors, elon musk.
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welcome to the show. thank you for coming. congratulations for the award. >> thanks for having me. melissa: what do you think it means for the bottom line. you laid out the financials. you were nodding. what do you think this will be for the bottom line? >> this will be helpful and showing to consumers and industry we really made a car not just the best electric car but best car of any kind. i think that validation from, from the "motor trend" which is effectively the car of the year award is oscars or emmies of the car industry and, and i think it can only be helpful to improve demand. i would expect it to improve. melissa: investors are looking for significant help. we mentioned third quarter loss widened. your gross margin done down 17%. >> yes. melissa: there are a lot of people out there saying you have to make good on the cash flow to silence the skeptics? >> no, i think that is absolutely right. i think there are some valid criticisms but in order to build a valuable company you must first build a good product. good products, you know,
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value of a company is really disproportionate to the value of the product itself. so i think what we've got, we had a good product. now what we need to do is scale up production. we need to make sure we're looking carefully the our costs and we need to build a solid company. i'm very optimistic about where things are headed. melissa: yeah. >> and it is worth mentioning that some of the, financials were quite low is expected. we told people it would happen, cost of essentially scaling up dramatically. we're going from the roadster which is at about the 700 cars a year to the model s at 20,000 cars a year. when you're scaling up by a factor of 30 there is necessarily a lot of capital investment that has to occur in order to do that. we do expect to be cash flow positive really in a matter of weeks, within say several weeks. so it is really quite close. it is not like it is far
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away. and we expect to be profitable next year. melissa: next year? you became a big part of the political debate of course with the electric car and i think, in a lot of ways boils down to a pretty essential question. you are a well-known bill irthat. >> yeah. melissa: a rich guy, let's say that. >> yeah. melissa: you know you're selling cars that are between 49,000 to $100,000. so we mentioned that federal loan that you have just refinanced, $465 million from the government. >> right. melissa: why do you need a government loan? you have so much money? the cars are so expensive. why do you need taxpayer dollars? >> that's a good question. we certainly received a fair amount of criticism for that. on the face of it may seem as you say what is the need for that? and actually, i would say the answer is tesla and doesn't absolutely need the federal money. that loan program was intended to have a sort of a catalytic effect, a accelerating effect on
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advent of advanced technologies vehicle. that is why it was called the advanced technology vehicle manufacturing program. it was completely separate from the bailout and all other things. unfortunately it was coincident in time. so a lot of people got confused with that. melissa: could you pay it back tomorrow and stop the criminal -- criticism? >> in fact we're paying the loan back in advance. there is schedule repayment, we've been paying interest for about a year. we've been paying the principal payments in advance. and we absolutely are committed to repaying that loan early. so we will do that. melissa: taxpayers will be thrilled to hear that. >> absolutely. melissa: another sticking point buyers get that $7500 credit. in my mind giving somebody food stamps to buy lobster. why would you give somebody credit to go out to buy $100,000 car? how do you respond to that? >> first of all the model s starts at $57,000. melissa: still lobster. still lobster. >> maybe shrimp or
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something. melissa: okay. >> but, the goal of tesla really is to get to a mass mark car as fast as possible. right at beginning of tesla i published this blog which is tongue-in-cheek called the tesla master plan. it is really simple. we're starting out with high-priced, low volume. go to mid prized mid volume. the third step is low-priced high volume. the roadster, our sports car was first part of that. now the s is mid volume. third step is high volume, low price. we're beginning design work on that. melissa: thank you so much for coming on and congratulations on the award. it is a great honor. >> thanks so much for having me. melissa: it is a story that keeps getting weirder by the hour. john mcafee, pioneer behind the mcafee anti-virus software, is embroiled in a murder scandal in central america. it could involve the region's biggest drug kingpins?
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we have all the details next. at the end of the day it is all about money and electric cars. ♪ sometimes investing oppounities are hard tspot. you have to dig a little. fidelity's etf market tracker shows you the big picture on how different asset classes are performing, and it lets you go in for a closer look at areas within a class or sector that may be bucking a larger trend. i'm stephen hett of fidelity investments. the etf market tracker is one more innovative reason serious investors are choosing fidelity. get 200 free trades today and explore your next investing idea.
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melissa: on to -- time to get serious. not too long ago john mcafee was leading the largest software services company, mcafee and associates. in the few years between the time he sold his share in the company to today, mcafee went to sigher security pioneer to being involved with drugs and gangs. he is involved in murder. this is all bizarre. this is all in the small town of san pedro, belize. how does something like this happen? defense attorney joey jackson joins me. we were talking about it during the comercial. this is crazy story and everybody is watching this. this guy -- >> in a pickle. melissa: what do we know so far? >> we know a couple of things. we know he has this neighbor and him and his neighbor don't necessarily get along. of course mcafee has these dogs and neighbor is complaining about these dogs. he filed a complaint with
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the local authorities. the dogs were barking. the dogs end up dead, shot and poisoned. it gets murky after that of course. then if you listen to mcafee's version of events he says listen, i'm not going anywhere. i'm leaving and no, i'm not surrendering myself. normally melissa that would be perceived as consciousness of guilt, because if you're not guilty you go to the authorities say, hey, what do you want, i'll talk to you, what's the problem? he is saying this is such distrust with law enforcement. these guys raided my house in april. accused me of guns. dropped charges. they accused me of distributing drugs. they dropped the charges. i'm not going to you guys. you will kill me. his version is there major distrust between him and law enforcement authorities. melissa: somewhere in there the guy ended up dead. >> yes. melissa: we skipped that part. >> that was the big thing. melissa: that was the big one. >> there is big dispute. the neighbor ends up dead. there is hole in his head and bleeding on the floor. melissa: apparently killed
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one of mcafee's dogs? >> we don't know. mcafee is person of interest. not known whether he did the crime. he is certainly a major subject in the offense. neighbor's dead. housekeeper finds the neighbor. they're attaching it to him, that is mcafee, as a result of this dispute he might have been motivated to engage in this viciousness that is what is outstanding. melissa: meantime we've barely scratched the surface of the bizarre details of this story as they are being reported right now. >> got two hours? melissa: yeah, right. >> this is crazy. melissa: this guy who was a major leader in silicon valley, created this technology worth billions is making bath salts. perfecting bath salts, this new drug, i don't know. >> has a laboratory. i know why you said you don't know. it has some sort of sexual connotation. melissa: didn't even know that. i learned something new. >> sure you didn't know. they're talking about how he has this laboratory and he is really into this whole
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sexuality issue and you know, this development with drugs. melissa: 17-year-old girlfriend. >> exactly. melissa: 57 years old. no crime there. consent laws but still interesting details. >> at this point the american bar association, this is pretty interesting, they did analysis of the belize government and analysis of the justice system, they found the hurt conviction rate is 10%. perhaps he should surrender himself over there and get just is it. interestingly their system parallels ours, right to counsel. search and seizure. right to jury trial. a jury trial is required in capital cases. so who knows. melissa: you're his lawyer real quick we've got to go. he is hiding out. won't go sigh the authorities right now. what would you tell him? >> go with counsel. surrender yourself. let the investigation ensue. i don't i have him answer any questions. he stays with me. doesn't talk. do the forensic evaluation. they found a .9 millimeter
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bullet at scene. they will do forensics. they do dna. if it attaches to him there is a problem. if no connection, he walks. he has a lot of ties, a lot of interests there. he loves the country. he has been there for a long time. melissa: he loves the 17-year-old. i don't know, joey. he looks fine. i think it is all going to work out. you know what? you have to talk about this one some more. it will be fine. plenty of people are bummed out about the election results like the mcafee guy but some in texas are taking it to a whole new level. tens of thousands sign a petition to secede from the union and the white house is actually preparing a response. i love this one. details coming up next. you can never have too much money or too many bath salts i guess. ♪ i always wait until the last minute.
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can i still ship a gift in time r christmas? yeah, sure you can. great. where's your gift? uh... hew. [ le announcer ] break from the holiday stress. ship fedex express by december 22nd for christmas delivery.
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♪ melissa: so it's time for a little fun with spare change. today we are joined by radio talk-show host goddess of mike crowley. that is in the prompter. i said it summertime's. our very own god, adam shapiro. the people say that see you now? >> the for their vote -- four-letter word. melissa: here is a good one. president obama is reelection,
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residents of -- 20 states have filed petitions to secede from the union. check out this matter. louisiana already has more than 10,000 signatures. and texas, big shocker, texas has reached 25,000, which is enough signatures for the white house to review their petition. you think anything will happen? you know what, we don't want you anymore. go ahead. >> en wanted to succeed. president obama, they might say, you know what. don't mess with texas. nothing and obviously will come of this. the bigger point is that a lot of people are not just upset with the reelection of president obama. it's not about obama, per say, it's about the changing nature of the country and whether or not we're losing the very foundation of principles that made us great, including free-market capitalism, economic freedom, individual liberty. what this movement shows you is
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that a lot of people want to reclaim that and are not sure how to do about it. melissa: what do you think? >> i had a conversation with a good friend of mine who will move his family from connecticut to one of the state's. and as the dalai? and he certainly the tax burden, not worth it, but as we were talking, in the green room, you were saying, look, the state's right now, that might be trying to jokingly secede. as all these people start flocking south there will have to have a gun taxes, so the benefit might be connected. melissa: there you go. that was depressing. let's move on to something else. a more frightening post-election story. a woman was booked on aggravated assault and domestic violence for running over her husband because he did not vote. that's right. taster has been around the parking lot for paying him between the family jeep and the curve.
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all this should answer families we will face hardships. the husband is in critical condition. >> and we are kind of laughing, but this is serious. has been is laid up and in pain. melissa: when you, yes. but when you look at the lists of the top kind of stresses. political differences are kind of inching up into the top ten, top five major stresses. >> american made cars. melissa: i like that. one more. check us out. it looks like a minivan. calling it the transit connect wagon. its teeseven, sliding doors. it's looks like.

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